Annual report pursuant to Section 13 and 15(d)

INSURANCE LOSS RESERVES AND LOSS AND LOSS ADJUSTMENT EXPENSES

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INSURANCE LOSS RESERVES AND LOSS AND LOSS ADJUSTMENT EXPENSES
 12 Months Ended
Dec. 31, 2022
Insurance [Abstract]  
INSURANCE LOSS RESERVES AND LOSS AND LOSS ADJUSTMENT EXPENSES INSURANCE LOSS RESERVES AND LOSS AND LOSS ADJUSTMENT EXPENSES
BIGRM is a wholly owned subsidiary of Bridge and is licensed under the Utah Captive Insurance Companies Act. BIGRM provides the following insurance policies:
•Lease Security Deposit Fulfillment (limits $500 per occurrence/per property unit)
•Lessor Legal Liability (limits $100,000 per occurrence/per property unit)
•Workers’ Compensation Deductible Reimbursement (limit $250,000 per occurrence)
•Property Deductible Reimbursement ($1,500,000 per occurrence/$3,000,000 policy annual aggregate)
•General Liability Deductible Reimbursement ($5,000,000 in excess of $25,000 per occurrence; $10,000,000 policy annual aggregate)
For BIGRM’s insured risks, claim expenses and the related insurance loss reserve liabilities are based on the estimated cost necessary to settle all reported and unreported claims occurring prior to the balance sheet dates. Additionally, claims are expensed when insured events occur or the estimated settlement costs are updated based on the current facts and the reporting date. Additionally, insurance claim expenses and insurance loss reserves include provisions for claims that have occurred but have yet to be reported. Insurance expenses and the insurance loss reserves for both reported and unreported claims are based on the Company’s previous experience and the analysis of a licensed actuary. Management believes such amounts are adequate to cover the ultimate net cost of insured events incurred through December 31, 2022. The insurance loss provisions are estimates and the actual amounts may ultimately be settled for a significantly greater or lesser amount. Any subsequent differences arising will be recorded in the period in which they are determined. As of December 31, 2022 and 2021, the Company had reserved $9.4 and $8.1 million, respectively.
The table below summarizes BIGRM's losses incurred during the years ended December 31, 2022, 2021, and 2020 as well as rollforwards of the loss reserve liability for each of the respective periods then ended (in thousands):
Year Ended December 31,
2022 2021 2020
Balance as of beginning of year $ 8,086  $ 4,436  $ 3,754 
Losses incurred, related to:
Current year 7,034 8,387 3,117
Prior years (935) (569) (249)
Total incurred 6,099 7,818 2,868
Losses paid, related to:
Current year (786) (2,012) (219)
Prior years (3,954) (2,156) (1,967)
Total paid (4,740) (4,168) (2,186)
Balance as of end of year $ 9,445  $ 8,086  $ 4,436